TP-729-V: Carry-Forward of Net Capital Losses

As a resident of Québec, you’ll need to complete the TP-729-V form if you want to carry forward to this year:

  • a net capital loss sustained in a previous year
  • the unused portion of a business investment loss, as long as that portion has become a net capital loss and is being carried over for the first time

Note: Losses must be carried forward in the order in which they were sustained. This means, you must carry forward the oldest loss first.

Generally, a net capital loss can only be used to reduce the net taxable capital gain for the carry-forward year. However, you might be able to use losses from before May 23, 1985, to reduce income from other sources, to a maximum of $1,000. To do so, complete the Work chart 2 section on the TP-729-V page in H&R Block’s tax software.

Any balance that can be carried forward is calculated using the inclusion rate of 50%. Net capital losses from a period when the rate was not 50% (such as 1988 to 2000), will be converted to this inclusion rate when you complete the TP-729-V page.

Follow these steps in H&R Block's 2024 tax software:

Before you begin, make sure you told us that you lived in Québec on December 31, 2024.

  1. On the left navigation menu, under the Credits & deductions tab, click Other.
  2. Under the SPECIFIC CREDITS FOR YOUR PROVINCE heading, select the checkbox labelled Carry-forward of net capital losses (TP-729-V), then click Continue.

  3. When you arrive at the Carry-forward – net capital losses page, enter your information into the tax software.